Ask Question
BusinessBusiness
25 July, 01:34

Page 81 3.2. What determines demand? Consider the market for caramel and butterscotch ice cream toppings. For each price change, identify the likely effect on the demand curve for caramel topping. The demand for caramel topping will decrease. The demand for caramel topping will increase. The demand curve for caramel topping will remain the same. The price of ice cream increases. The price of caramel topping decreases. The price of butterscotch topping increases.

+1
Answers (1)
  1. 25 July, 01:49
    0
    The price of ice cream increases - The demand for caramel topping will decrease

    The price of caramel topping decreases - The demand curve for caramel topping will remain the same.

    The price of butterscotch topping increases - The demand for caramel topping will increase.

    Explanation:

    If the price of icecream increases, it would become expensive to make them. So producers would reduce quantity supplied of ice cream. As a result of the reduced supply, there would be less demand for caramel toppings.

    Caramel and butterscotch toppings are subsituites. If the price of butterscotch toppings increase, the demand for caramel toppings would increase.

    If the price of caramel toppings reduce, the quantity supplied would fall. This would lead to a movement along the demand curve and not a shift of the demand curve.
Know the Answer?
Not Sure About the Answer?
Find an answer to your question 👍 “Page 81 3.2. What determines demand? Consider the market for caramel and butterscotch ice cream toppings. For each price change, identify ...” in 📗 Business if the answers seem to be not correct or there’s no answer. Try a smart search to find answers to similar questions.
Search for Other Answers
You Might be Interested in
Consumers who only want to purchase products made in their own country are an example of:Question 4 options: A) cultural particularism. B) different laws in different countries. C) different business standards. D) universal global attitudes.
Answers (1)
The correct cost flow in a job order costing system is: a. work in process; finished goods, cost of goods sold b. cost of goods sold, work in process, finished goods c. finished goods, work in process; cost of goods sold d.
Answers (1)
How long does it take to mail a package from texas to new york?
Answers (1)
The purchase of store equipment for cash reduces assets and owner's equity by an equal amount. a. True b. False
Answers (1)
We would not expect a Japanese financial asset and a U. S. financial asset with identical risk, liquidity, and information characteristics to have different expected returns because A.
Answers (2)
New Questions in Business
Which of the following statements is most consistent with efficient inventory management? The firm has a: a. low incidence of production schedule disruptions. b. below average total assets turnover ratio. c. relatively high current ratio.
Answers (1)
Units to be Assigned Costs Oak Ridge Steel Company has two departments, Casting and Rolling. In the Rolling Department, ingots from the Casting Department are rolled into steel sheet.
Answers (1)
Select all the correct answers Amber is writing to an accountant that she would like to interview to gain information about the career field. What information should she include in her letter? A.
Answers (2)
What is the acid-test ratio for a merchant with the following account balances? (Round your answer to two decimal places.
Answers (2)
When the market fails to adjust for the full costs of a firm's behavior, this is called?
Answers (1)
Home » Business » Page 81 3.2. What determines demand? Consider the market for caramel and butterscotch ice cream toppings. For each price change, identify the likely effect on the demand curve for caramel topping. The demand for caramel topping will decrease.
Sign Up Forgot Password?